Facts & Figures2018/19NEW ZEALAND PLANTATION FOREST INDUSTRY

Contents

Section 1. New Zealand Planted Forestry Highlights

New Zealand Planted Forestry Highlights 3New Zealand Planted Forestry in Summary 4Land Use and Returns 5Comparative Export Earnings and Predictions 6Contribution of the Main Plant Species to New Zealand GDP 7Global Forests 8

Section 2. New Zealand Planted Forestry

Planted Forest Mix and Ownership 11Plantation Forest Ownership – Underlying Land Status 12Commercial Planted Forest Ownership and Management 13Environmental Certification 14Planted Forests by Location 15Net Stocked Area of Pinus radiata 16 Harvestable Pinus radiata 17Plantation Species (ha) 18New Forest Planting and Deforestation 19 Forest Planting 20Forest Management Trends 21Typical Log Out-turn 22Log Flow in the New Zealand Forestry Industry 23Reporting a Suspected Pest/Disease 25

Section 3. Export and Production

Top Export Destinations 27Export Value by Destination and Product 29Major Forest Product Export Earners 30Production and Exports of Selected Forestry Products 31Lumber and Log Production and Exports 34Log Exports by Port 35Sawn Timber Export by Port 36Forest Products Industry Map 2018 37Paper, Pulp and Panel Products Production 39

Section 4. Health and Safety Training

Health and Safety in the Forest Industry 42Forestry New Entrant Snapshot 43Industry Training 2018 44

Section 5. Supplementary Information

A Forestry Roadmap 47Forest Growers Levy Trust 48How the FGL is Invested 49Sector Agreements 51 NZ Wood 52New Zealand’s Greenhouse Gas Inventory 53Forests Removing Carbon 54Forestry the Solution in Carbon Zero Pathways 55Carbon Sequestration 56How Plantation Forests contribute to Biodiversity 57Terms, Names and Sites 60Contacts 61Log Pricing Data 63

Creating a sustainable forestry sector

Forestry plays a key role in many of the Government’s priority areas. It is why last year I launched Te Uru Rākau – a dedicated business unit for forestry.

My goals for the forestry sector – which I have tasked Te Uru Rākau with – are:

• creating one vision for all New Zealanders through the One Billion Trees planting programme, including supporting landowners to diversify income and increase productivity through improved land-use

• enabling Māori to reach their forestry-related economic and cultural development aspirations

• supporting sector and regional productivity increases to capture full market value

• building a strong, stable and reliable labour market which enables safe and rewarding lifetime careers in forestry

• developing better environment and climate change outcomes for New Zealand

• ensuring a stable investment environment enabling greater investment confidence in the forestry sector

• maintaining a stronger domestic market for wood products and security of supply for wood processors

• facilitating the transition to a low carbon economy through the replacement of petroleum-based products with wood-based products and the enablement of carbon farming.

I am focused on building a productive, high value, sustainable and inclusive economy. Fittingly, Te Uru Rākau means standing up together, and I’m looking forward to working with you to achieve our goals.

Producing accurate facts and figures can only strengthen our ability to tap into one of our most successful primary sectors – worth nearly $7 billion of exports a year.

Together, we can enable the industry to diversify, innovate and grow.

2

New Zealand Planted Forestry Highlights

SECTION 1Minister’s Foreword

Hon Shane Jones Forestry Minister

3 4

New Zealand Planted Forestry in Summary

New Zealand Planted Forestry Highlights

1,725,476 ha is the estimated net stocked plantation forest area at 1 April 2018. This is an increase in the plantation forest area of 19,047 ha from 1 April 2017.

$6.93 billion, was the export value to June 2019, comprising $3.85b of logs and $3.08m of other forest products.

ANOTHER RECORD HARVEST OF

37 million m3 WAS ACHIEVED IN THE YEAR ENDED MARCH 2019 AS MORE TREES MATURED AND PRICES REMAINED HIGH.

4

2

1

Source Box 1 NEFD 2018Source Box 2 SOPI June 2019Source Box 3 SOPI September 2019Source Box 4 SOPI September 2019Source Box 5 NZIER March 2017

$3.55 billion was the total contribution of the forest industry to New Zealand’s GDP; $1.39b from forestry and logging and $2.16b from downstream activity.

5

Area and standing volume statistics As at 1 April 2016

As at 1 April 20172

As at 1 April 2018

Forest area Net stocked area (ha) 1,704,747 1,706,429 1,725,476 Growth characteristicsStanding volume (000 m3) 455,519 472,715 491,462 Average standing volume (m3/ha) 267 277 285Area-weighted average age (years) 17.08 17.39 17.63Area by speciesRadiata pine (ha) 1,532,734 1,535,510 1,551,985 Douglas-fir (ha) 104,173 103,726 104,992 Cypress species (ha) 10,140 9,855 9,965 Other softwoods (ha) 22,743 22,539 23,415 Eucalypts (ha) 23,182 22,307 22,777 Other hardwoods (ha) 11,775 12,492 12,343 Planting statistics Year ended

31 Dec 2015Year ended

31 Dec 2016 Year ended

31 Dec 2017

New planting Total estimated new planting (ha) 3,000 2,500 6,000Restocking 39,948 40,610 36,616Harvested area awaiting restocking1 50,491 48,470 50,072Harvesting statistics 3 Year ended

31 Mar 2016Year ended

31 Mar 2017Year ended

31 Mar 2018

HarvestingArea clear felled – all species (ha) 45,342 44,770 46,895Volume clear felled – all species (000 m3) 25,008 24,512 26,566 Volume production thinned – all species (000 m3) 419 328 269

Total volume removed – all species 25,427 24,840 26,835 Average clear fell yield – all species (m3/ha) 552 555 572 Area-weighted average clear fell age for radiata pine (years)

29.1 28.4 28.7

Estimated planted forest roundwood removal (000m3)5 29,068 30,650 36,085

Notes 1 In this report, the area of harvested land that was recorded as awaiting a land use decision has been reported in the area awaiting restocking.2 The 2017 survey only sought data from owners with 1,000 hectares of forest or more. These estimates have been rated up based on the 2016 NEFD results for owners with less than 1,000 hectares of forest.3 All volumes are reported as recovered volumes inside bark. 4 These estimates are based on data collected in the 2018 NEFD survey and may differ from the roundwood removals estimate as published in the Annual log and roundwood removal statistics, Ministry for Primary Industries. This is due to the estimate from that source being an indirect estimate that uses conversion factors for each forestry product to estimate the total roundwood input that would be required to produce total forest product outputs. 5 Estimate from the Annual log and roundwood removal statistics.

Source National Exotic Forest Description NEFD 2018

OWNERS OF SMALLER FORESTS ARE CURRENTLY HARVESTING 40% OF THE TOTAL HARVEST.

3

5 6

Land Use and Returns

Share of Rural Land by Land Use 20151,2

Export Value Comparisons 3,4, 5

Annual Cash Surplus 6

Plantation Forest 12%

Horticulture & cropping 4%

Scrub 11%

Pasture 72%

–Dairy Forestry

400800

1,0001,4001,800

Drystock

Annu

al C

ash

Surp

lus (

$/ha

) –

10 y

ear a

vera

ge si

nce

2005

Notes 1 Estimates of forestry only include plantation forests. Natural forests, excluded from these estimates, make up

approximately 29% of New Zealand’s land area. 2 The total area of rural land decreased between 1990 and 2015 by about 3.5 million hectares, or in percentage

terms by about 20%. This is a result of rural land being converted to non-rural uses. Rural land includes all farm land and plantation forests.

3 These land use/export return figures do not take into account the different land class ratios used for the four listed industry categories, nor the shift of product across categories, such as beef from dairy cows.

4 Neither charges nor payments under the Emissions Trading Scheme are calculated into these figures.5 These are export figures alone and do not reflect the different domestic consumption levels across the primary

sector. Nor do they reflect different ROI levels.6 Dairy and Forestry is 10 year averages since 2005. Drystock is for East Coast hill country. Beef & Lamb NZ data.

Source Share of Rural Land by Uses 2015 Productivity Commission October 2018Source Export Value Comparisons † MfE/Stats ‘Our Land 2018’, *SOPI September 2019Source Annual Cash Surplus Scion Nov 2015

Source Box 1 SOPI Mar 2019Source MPI predictions for Primary Industry Sector Export Values 2023 SOPI June 2019Source Proportion of exports to China by primary sector SOPI Sep 2019

Export product category

million ha 2016 †

Year to June2019 exports

billion $*

Per ha/yr $

Horticulture 0.19 6.1 32,158

Dairy 2.6 18.1 6,969

Forestry 1.7 6.9 4,077

Meat & wool 8.5 10.2 844

Comparative Export Earnings and Predictions

MPI anticipitates that the value of forest product exports will reach

$7 billion in 2022.

MPI Predictions for Primary Industry Sector Export Values 2023 ($ billions)

MPI Predictions for Primary Industry In-sector Export Values 2023 ($ billions)

1

Proportion of exports to China by primary sector (% percentage)

100

80

60

40

20

0

Horticulture

Dairy

Seafood

Sheepmeat

Wool

Forestry

Export Billions $

Whole Milk Powder $6.26Logs $3.92Butter, Anhydrous Milk Fat & Cream $3.87Sheepmeat $3.71Beef $3.25Processed Forest Products $3.16Kiwifruit $2.79Cheese $2.06Wine $1.89

Seafood $2.10

Forestry $7.08

Horticulture $6.96

Other primary sector $3.33

Meat and Wool $10.19

Dairy $18.82

12%

31% 32% 36%51% 52%

7 8

Contribution of the Main Plant Species to New Zealand GDP

Plant Total impact on GDP in 2012 Ranking #

Ryegrass $14,537,000,000 1Pinus radiata $4,454,000,000 2Clover $2,334,000,000 3Kiwifruit $807,000,000 4Douglas-fir $200,000,000 12Eucalyptus $41,000,000 23Cypress $17,000,000 32

Source Contribution of the Main Plant Species to New Zealand GDP NZIER July 2016

Global Forests

Net Annual Average Forest Area Change, by Climatic Domain (million ha per year)

Global Forest Areas

Global Planted Forest Areas

Annu

al fo

rest

cha

nge

(mill

ion

ha)

6

4

2

0

-2

-4

-6

-8

-102000 - 2005 2005- 2010 2010- 2015

North and Central America 18%

South America 21%

Oceania 5%

Asia 14%

Europe 25%

Africa 16%

Total 3,952 million hectares

North and Central America 15%

South America 5%

Oceania 2%

Europe 53%

Asia 20%

Africa 5%

Total 291 million hectares

Boreal

Temperate1

Subtropics

Tropics

Notes 1 New Zealand = Temperate. The next FAO Forest Report is due in 2020.

Source Net Annual Average Forest Area Change FAO State of the World’s Forests 2016Source Global Forest Areas & Planted Forest Areas FAO Global Forest Resources Assessment 2015

9

46% of the estimated 53.4 million hectares of worldwide plantation forest estate is made up of Pinus spp., with Eucalypts the next largest at 26%.

THE WORLD LOST

12 million HECTARES OF TROPICAL TREE COVER IN 2018 - THE EQUIVALENT OF 30 FOOTBALL PITCHES A MINUTE - ACCORDING TO MONITORING SERVICE GLOBAL FOREST WATCH

1

2

Source Box 1 FSC Strategic Review on the Future of Forest Plantations 2012Source Box 2 FAO Global Forest Resource Assessment 2010Source Box 3 & 4 FAO

The Global Forest Resources Assessment (FRA), coordinated by the UN Food and Agriculture Organisation, found that the world’s forest area decreased from 31.6 percent of the global land area to 30.6 percent between 1990 and 2015, but that the pace of loss has slowed in recent years.

`

Acting as carbon sinks, (world) trees and forests absorb the equivalent of roughly 2 billion tonnes of carbon dioxide each year. However, deforestation is the second-leading cause of climate change after burning fossil fuels and accounts for nearly 20 percent of all greenhouse gas emissions — more than the world’s entire transport sector.

`

3

4

10

New Zealand Planted Forestry

SECTION 2

11 12

Planted Forest Mix and Ownership

Planted Forest Ownership 1,2,3,4,5 As at 1 April 2018

Forestry Plantings and Harvest Volumes Year ended December 1992–2018

The trees in 90% of all New Zealand planted forests are Pinus radiata, with most of the other species growing in the South Island.

1

Notes1 Ownership is based solely on the ownership of the forest irrespective of the ownership of the land.2 Figure represents percentage of net stocked planted production forest area by ownership type.3 Significant changes in forest ownership have occurred since 2003, resulting in large areas of forest previously owned by public companies now being privately owned.4 The legal entities included in the “Privately owned” category are private companies, partnerships, individuals and trusts, which includes Maori trusts and incorporations.5 “Central Government" forests are predominantly Crown-owned forests on Maori lease-hold land. These forests are managed by Te Uru Rākau.

Source Box 1 & Planted Forest Ownership NEFD 2018 Source Forestry Plantings and Harvest Volumes Statistics NZ & MPI

Privately owned over 1000 ha

Local government

Registered public company

State owned enterprise

Privately owned under 40 ha

Privately owned 40-999 ha

Central government

020,00040,00060,00080,000

100,000

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

05,00010,00015,00020,00025,00030,000

2016

2014

Harvest volum

e (thousand MTQ

)

35,000

YearTotal new planting

Harvest volume (000 m3)

(000 m3)

ToTTta

lnew

plan

ting

(ha)

2018

NZ Plantation Forest Ownership –Underlying Land StatusAs at 31 December 2018

Firm/Entity Underlying Land Status (Productive area (ha))

Freehold Leasehold Total

Crown Māori Inc. Other

Hancock Natural Resource Group

85,246 9,549 66,682 31,185 192,662

Kaingaroa Timberlands 1,393 182,734 184,127

Rayonier/Matariki Forests 54,707 29,372 15,227 19,185 118,491

Ernslaw One Limited 59,442 41,862 7,705 2,046 111,055

Global Forest Partners LP 51,935 39,724 708 92,367

Pan Pac Forest Products 4,811 12,527 18,045 83 35,466

Juken New Zealand 9,907 14,593 6,675 1,124 32,299

Tasman Pine Forests 31,200 31,200

Wenita Forest Products Ltd 8,730 19,551 28,281

Hikurangi Forest Farms 25,570 2,218 296 28,084

Nḡai Tahu Forestry 27,480 27,480

Roger Dickie NZ 26,576 26,576

Port Blakely 23,986 1,233 25,219

Summit Forests NZ Ltd 1,319 19,255 2,947 1,101 24,622

Lake Taupō Forest Trust 21,239 1,007 873 23,119

China Forestry Group Corporation

13,246 6,280 2,108 439 22,073

Forest Enterprises 19,890 19,890

The Rohatyn Group 17,551 1,423 18,974

City Forests 16,304 981 17,285

Crown Forestry (MPI)1, 2 1,522 10,605 12,127

Totals 502,054 133,438 357,100 78,805 1,071,397

NotesTotal Prod area is as at 31 December 20181 Crown land includes land leased under a Crown Forest License2 Crown land includes unlicenced Crown forest land as well as Crown-owned Freehold land

purchased by Timberlands West Coast in the 1990s and transferred to the Crown in January 2009

Source FOA

13 14

Commercial Planted Forest Ownership and Management As at 31 December 2018

Firm/Entity Forest Management Productive Area (ha)

(TIMO) Property Management

Hancock Forest Management (NZ) Ltd 186,284

Hancock Natural Resource Group 186,284

Kaingaroa Timberlands 184,910

Rayonier New Zealand Ltd 116,778

Global Forest Partners LP 12,342

One Fourty One Plantations 77,428

Ernslaw One 111,379

Juken New Zealand 32,299

Tasman Pine Forests 36,803

Pan Pac Forest Products 36,099

China Forestry Group Corporation 21,981

The Rohatyn Group 7,209

Aratu Forests Ltd - 28,084

Wenita 27,390

Roger Dickie NZ 26,576 -

Forest Management NZ Ltd 26,576

Port Blakely Ltd 27,852

Nḡai Tahu Forestry 25,741

Forest Enterprises 19,738 19,738

City Forests 17,285

PF Olsen Ltd 1,250 105,383

NZ Forest Managers1 3,871 54,368

Summit Forests NZ Limited 36,221

Totals 257,270 1,172,599

40-99 ha10,000+ ha 500-999 ha100-499 ha1000-9999 ha < 40 ha*

Forest Area by Forest Owner National Size Class As at 1 April 20181

Number of Forest Owners by National Size Class As at 1 April 20181

Source NEFD 2018*The number of forest owners for areas less than 40ha is not shown

P13 Notes:This table is designed to identify who manages NZ forests. Within "management" there are 2 main categories:Timberland Investment Management (commonly referred to as a TIMO).These organisations do not own any forest. The forests are owned by retail investors or institutional funds.Property Management Planning and managing field operations, mapping and maintaining records.Some entities carry out both functions within the same organisation,1Includes areas managed by NZFM for Crown Forestry and Lake Taupo Forest Trust

P14 Notes:Source Commercial Planted Forest Ownership and Management FOASource Number of Forest Owners by National Size Class NEFD 20181 Crown Forestry forests are managed under an FSC licence held by NZ Forest Managers. n.b. Productive Area = Net Stocked Area + Area Awaiting Restocking Total Certified Area = Total Forest Area as recorded on FSC certificate

Source Environmental Certification FOASource Forest Area by Forest Owner National Class Size NEFD 2018

Company Environmental Certification Body

FSC (ha) PEFC (ha)

Rayonier New Zealand Ltd 157,311 157,311

PanPac Forest Products Ltd 45,663

NZ Forest Managers Ltd1 59,123

Wenita Forest Products Ltd 32,100

Aratu Forests Ltd 28,636 29,005

Juken New Zealand Ltd 32,299

PF Olsen Ltd 9,130

RMS FGI 5,164

Summit Forests NZ Limited 30,538

The Rohatyn Group 3,774

Kaingaroa Timberlands Limited 184,910 184,910

Port Blakely Ltd 33,880

Crown Forestry, MPI1 - -

Southland Plantation Forest Company of New Zealand

10,544

China Forestry Group Corporation 20,416

Nḡai Tahu Forestry 45,847

City Forests Ltd 21,541

Ernslaw One Ltd (North Island) 79,192

Ernslaw One Ltd South Island) 23,096

Tasman Pine Forests 36,803

Hancock Forest Management (NZ) Ltd 186,284 154,760

One Forty One Plantations 77,428

Total Certified Productive Plantation Area (ha)

1,118,515 531,150

Lyndsay & Dixon Ltd (Naturally regenerated indigenous)

11,916

Total Certified Productive Forest Area (ha)

1,130,431 531,150

15 16

Planted Forests by Location

Area Planted in all Species by Territorial Authority,1,2

Plantation Forests As at 1 April 2018

Forest Area by Age Class and Wood Supply Region As at 1 April 2018

Canterbury 6%

Southern North Island 9%

Nelson and Marlborough 10%

West Coast 2%

Otago and Southland 12%

East Coast 9%

Northland 11%

Hawke’s Bay 8%

Central North Island 34%

Region Estimated Total Forest Area (HA) 2016 2017 2018

Northland 185,939 186,868 187,489Central North Island 567,781 567,478 584,241East Coast 156,099 154,149 156,556Hawke's Bay 133,746 134,391 133,710Southern North Island 159,977 161,432 161,623Nelson/Marlborough 166,798 166,230 166,981West Coast 31,422 31,375 29,840Canterbury 96,860 95,763 95,735Otago/Southland 206,126 208,744 209,302Total 1,704,747 1,706,429 1,725,476

Notes1 Net stocked planted production forest area.2 Individual entries may not add to totals due to rounding.

Source Area Planted in all Species by Territorial Authority, Plantation Forests & Forest Area by Age Class and Wood Supply Region NEFD 2018

050

100150200250300

1-5

350400450500

6-10 11-15 16-20 21-25 26-30 31-35Age Class (years)

Area

(000

ha)

By Age Class as at 1 April 2018

Otago and Southland

Canterbury

West Coast

Nelson and Marlborough

Southern North Island

Hawkes Bay

East Coast

Central North Island

Northland

Net Stocked Area of Pinus radiata

Forest Area 2018 by 5 Yearly Age Class By Age Class as at 1 April 2018

Age Class 2018 Over TimeBy Age Class as at 1 April 2018

Source Forest Area by Annual Age Class & Age Class Over Time NEFD 2018

2015

2017

Forest area Pinus radiata

Other species

2016

2018

Age Class (years)

Area

(ha)

050,000

100,000150,000200,000250,000300,000350,000400,000450,000500,000

51-6

0

41-5

0

36-4

0

31-3

5

26-3

0

21-2

5

16-2

0

11-1

5

6-101-

5

Area

(ha)

0

100,000

200,000

300,000

400,000

500,000

61+

51-6

0

41-5

0

36-4

0

31-3

5

26-3

0

21-2

5

16-2

0

11-1

5

6-101-

5

Age Class (years)

61-8

0

17 18

Harvestable Pinus radiata

Forest Area Planted in Pinus Radiata by Territorial Authority Of Harvestable Age (21+) Per Region (ha), as at 1 April 2018

Ota

go/S

outh

land

Cant

erbu

ry

Wes

t Coa

st

Nel

son/

Mar

lbor

ough

Sout

hern

N. I

slan

d

Haw

ke's

Bay

East

Coa

st

Cent

ral N

. Isl

and

Nor

thla

nd

Regions

Hec

tare

s

The total planted forest standing volume in April 2018 was

491 million m3, an increase of 19 million m3 from 2017.

1

Source NEFD 2018

The average age of plantation trees was

17.63 years in April 2018, a marginal increase (88 days) from 17.39 years in 2017, indicating the 1990s peak planting is more than offsetting the increased harvesting and new planting rates.

0

50,000

100,000

150,000

200,000

Plantation Species (ha)

Species Distribution As at 1 April 2018

Minor Plantation Species

Other pines; P. nigra, P. muricata, P. ponderosa

Other softwoods; Redwoods, Larch, Cryptomeria, Cypress

Indigenous species; Kauri, Tōtara

Other hardwoods; Poplars, Acacia, Willows, Black Walnut, Paulownia, Oaks

Non-durable eucalypts; E. obliqua, E. fastigata, E. regnans, E. nitens, E. saligna, E. botryoides, E. pilularis, E. muelleriana,

Durable eucalypts; E. globoidea, E.bosistoana, E.quadrangulata.

Approximate Harvest Age Over the Past Five Years

Douglas-fir

Hardwoods

Other Softwoods

Pinus radiata

Species Harvest Age

Pinus radiata 29 years

Douglas-fir 40 years

Cypress 34 years

Eucalypts 21 years

Source Species Distribution NEFD 2018Source Approximate Harvest Age Over the Past Five Years SOPI June 2017

19 20

Afforestation

Deforestation

Hec

tare

s

Year

-20,0000

20,00040,00060,00080,000

100,000

201420102006200219981994199040,000-20,000

Net afforestation

Source Afforestation and Deforestation in New Zealand, 1990–2015 Productivity Commission 2017Source Plantation Forest Harvest MPISource Box 1 SOPI September 2019

New Forest Planting and Deforestation

Afforestation and Deforestation in New Zealand, 1990–2015

Plantation Forest Harvestfor Year Ended 31 Dec

Pulp logs Other roundwood

Quality logsr Revised pProvisional

2018

2000

1998

1991

0

5

10

15

20

25

30

2019

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

2001

1999

1997

1996

1995

1994

1993

1992

Volu

me

(mill

ions

m3 )

Year

35

40

HARVEST VOLUMES WILL FALL BY 5% IN THE YEAR TO JUNE 2020 AND EXPORT VOLUMES BY 9.2%

1

Forest Planting

Tree Stock Sales from 2011 to 2018

Estimated Percentages of Total Radiata Pine Planting by Categories

Notes1 Individual entries do not add up to totals due to rounding to the nearest 100 000

Source Tree Stock Sales from 2011 – 2018 Provisional estimates of tree stock sales and forest planting in 2018, MPI

IN 2018, AFFORESTATION WAS 9,100 HECTARES, INCLUDING 2,200 UNDER MPI FORESTRY SCHEMES. REPLANTING TOTALLED

47,900 hectares.1

Percentages of Total Radiata Pine Planting by Categories2011 2012 2013 2014 2015 2016 2017 2018ᵖ

Open pollinatedseedlings

49 48 38 36 31 28 25 30

Control pollinatedseedlings,cuttings/clones

51 52 62 64 69 72 75 70

pProvisional

Tree Stock Sales in Millions2011 2012 2013 2014 2015 2016 2017 2018

Pinus radiata

58.9 64.6 48.5 47.2 45.8 49.3 48.0 56.6

Other 8.7 7.9 5.7 3.0 3.8 3.4 3.4 3.3

Total 67.6 72.5 54.11 50.8 49.51 52.7 51.3 59.9

pProvisional

21 22

Forest Management Trends

Radiata Pine by Tending Regime As at 1 April 2018

Pinus Radiata Harvest Volume by Log TypeFor year end 31 March

Pruned with production thinning 10%

Pruned without production thinning 37%

Unpruned without production thinning 50%

Unpruned with production thinning 3%

2016Hectares 1

2017Hectares 1

2018Hectares1

Pruned with production thinning

158,197 154,427 148,191

Pruned without production thinning

619,747 595,958 576,195

Unpruned with production thinning

39,675 53,844 51,716

Unpruned without production thinning

715,116 731,282 775,884

The area under an unpruned management regime continues

to grow, to now about 53% of the Pinus radiata forest estate. The area of production thinned radiata forest is also decreasing, now to about 13%.

Pulp and Chip 16%

Pruned 14%

Unpruned 70%

1

Source Pinus Radiata by Tending Regime & Radiata Pine Harvest Volume by Log Type NEFD 2018Source Box 1 MPISource Pinus Radiata Harvest Volume by Log Type NEFD 2018

Typical Log Out-turn

Direct Sawlog Regime Pruned and thinned. Final Crop Stocking 228 stems per hectare.

Structural Regime Thinned. Final Crop Stocking 487 stems per hectare.

Length Volume Value

Waste 8 m 0.18 m3 0%

Industrial grade logs 8 m 0.31 m3 7%

Sawlogs 15 m 1.15 m3 43%

Pruned logs 5 m 0.64 m3 50%

Stump 0.2 m 0.03 m3 0%

Total 36 m 2.3 m3 100%

Notes Average site (Site Index 29 m, 300 Index 23 m3/ha/yr). Clearfelled at 28 years.

Source Direct Sawlog Regime & Structural Regime Scion

Length Volume Value

Waste 8 m 0.24 m3 0%

Industrial grade logs 8 m 0.41 m3 20%

Sawlogs 19 m 0.95 m3 80%

Pruned logs 0 m 0.00 m3 0%

Stump 0.2 m 0.01 m3 0%

Total 35 m 1.61 m3 100%

23

Notes p Provisional

Source Log Flow in the New Zealand Forestry Industry MPI

Log Flow in the New Zealand Forestry IndustryYear Ended December 2018p, in tonnes

From indigenous forest 15,000

From plantation forest 35,669,000

Total log input 35,684,000

Log export 21,384,000

Processed in New Zealand 14,300,000

Forest residues Not available

The indigenous tree harvest now represents less than 0.05% of the total

THE INDIGENOUS TREE HARVEST NOW REPRESENTS LESS THAN 0.05% OF THE TOTAL

24

Chip export

232,000Poles

400,000

Sawlogs and peelers

9,223,000Pulp

3,523,000Reconstituted panels

907,000

Plywood

1,246,000Plant residues (estimated)

4,150,000Sawmills

7,976,000Energy

Not available

Processed in New Zealand 14,300,000

25

Reporting a Suspected Pest/Disease

Eucalyptus Nitens with Myrtle Rust Infection

Don’t go down in history as the person who noticed something but didn’t tell. Keep our forests free of new pests and diseases. Myrtle rust arrived in New Zealand from Australia in mid-2017. The rust infects members of the myrtle family, which includes eucalypts, feijoas and guavas as well as native plants such as pōhutakawa, rata and mānuka. MPI has been attempting to control the disease to prevent it becoming established in New Zealand.

If you believe you’ve found something that shouldn’t be here, phone MPI’s hotline on 0800 80 99 66. They will arrange for whatever photos, samples and site visits are necessary. Or, email to; Info@mpi.govt.nz, with ‘Reporting a suspected pest/disease’ in the subject line, and make sure to include contact name, phone number and location of the discovery. Photos of the pest and plant damage would also be useful.

Photo credit: CSIRO

Export and Production

SECTION 3

Top Export Destinations*For Year Ended Mar 2019

6

1. China (People’s Republic of)$NZ 3,445,393,297

2. Australia$NZ 673,908,968

All other 13,283,708 All other 153,500,783 Logs and poles 2,935,911,360 Logs and poles 2,718,569 Panel products 25,171,331 Panel products 106,299,179 Paper and Paperboard 49,005,340 Paper and Paperboard 190,719,141 Sawn timber/sleepers 144,816,389 Sawn timber/sleepers 123,240,180 Wood pulp 277,205,169 Wood pulp 97,431,116

3. Republic of Korea$NZ 460,256,414

4. Japan$NZ 415,389,411

All other 1,057,914 All other 68,217,849 Logs and poles 324,869,541 Logs and poles 59,589,703 Panel products 3,190,087 Panel products 210,241,397 Paper and Paperboard 21,195,576 Paper and Paperboard 400,525 Sawn timber/sleepers 39,346,677 Sawn timber/sleepers 31,204,108 Wood pulp 70,596,619 Wood pulp 45,735,829

5. India$NZ 316,692,063

6. United States$NZ 253,932,511

All other 1,576,286 All other 13,695,037 Logs and poles 236,648,807 Logs and poles 54,000 Panel products 3,321,031 Panel products 25,772,948 Paper and Paperboard 7,722,277 Paper and Paperboard 5,059,695 Sawn timber/sleepers 4,719,203 Sawn timber/sleepers 208,467,426 Wood pulp 62,704,459 Wood pulp 883,405

27

5

3

2

1

9

7

10

11 8

7. Indonesia$NZ 179,041,650

8. Thailand$NZ 153,431,540

All other 12,823,464 All other 6,948,747 Panel products 16,095,005 Logs and poles 1,632,546 Paper and Paperboard 12,632,302 Panel products 1,072,544 Sawn timber/sleepers 42,813,916 Paper and Paperboard 58,541,717 Wood pulp 94,676,963 Sawn timber/sleepers 38,755,464

Wood pulp 46,480,522

9. Hong Kong$NZ 117,728,040

10. Taiwan$NZ 118,102,023

All other 1,109,861 All other 101,961 Logs and poles 97,913,241 Logs and poles 27,595,898 Panel products 1,300,637 Panel products 11,634,747 Paper and Paperboard 16,253,814 Paper and Paperboard 11,578,251 Sawn timber/sleepers 901,407 Sawn timber/sleepers 39,269,608 Wood pulp 249,080 Wood pulp 27,921,558

11. Viet Nam$NZ 109,656,637

12. Other$NZ 588,319,277

All other 2,788,576 All other 46,135,179 Logs and poles 2,324,450 Logs and poles 41,571,757 Panel products 21,686,384 Panel products 78,685,770 Paper and Paperboard 10,798,062 Paper and Paperboard 111,539,593 Sawn timber/sleepers 60,027,556 Sawn timber/sleepers 206,111,760 Wood pulp 12,031,609 Wood pulp 104,275,218

28

4

Source Top Export Destinations Stats NZ YE March 2019

29 30

Export Value by Destination and Product 1

for Year Ended 31 March 2019

Total Export Value by Main Countries of Destination

Exports of Forestry Products by Main Countries of Destination

Logs and chips

Sawn timber/sleepers

Wood pulp

Paper and paperboard2

Panel products

All other forest products3

Notes1 Values are NZ$ f.o.b. and may include items, e.g. some plywood items, for which no quantities are given.2 Paper and paperboard includes Newsprint for June 2011 yr.3 All other forestry products include chips, mouldings, manufactures of paper and paperboard, furniture and miscellaneous forestry products.4 Other countries are all other countries to which New Zealand has exported forest products during the year.

Source MPI

Country of DestinationTotal Export Value (NZD$)

2017 2018 2019China 2,276,834,724 2,904,761,827 3,445,393,297 Australia 723,624,489 743,463,783 673,908,968 Republic of Korea 483,178,648 512,342,963 460,256,414 Japan 426,053,047 435,952,082 415,389,411 India 302,734,068 305,572,552 316,692,063 United States 250,531,140 247,517,855 253,932,511 Indonesia 158,708,145 194,227,433 179,041,650 Thailand 82,056,261 119,496,436 153,431,540 Taiwan 87,214,989 91,846,072 118,102,023 Viet Nam 86,920,838 89,565,874 109,656,637 Philippines 91,350,975 82,132,685 101,581,149 Malaysia 55,107,264 85,841,045 108,219,728 Hong Kong 26,119,730 47,062,150 117,728,040 Singapore 43,387,213 56,525,465 34,892,722 Netherlands 36,835,695 34,370,258 40,471,192 All other desinations 254,023,332 268,962,253 303,154,486 Total 5,384,680,558 6,219,640,733 6,831,851,831

Coun

try

NZ $0001

0

Other CountriesIndonesia

United StatesIndia

Japan

AustraliaChina

1,000,000 2,000,000 3,000,000

4

Republic of Korea

Major Forest Product Export Earners1, 2

for Year Ended March

FORESTRY EXPORTS FOR THE YEAR ENDED JUNE 2020 ARE EXPECTED TO DROP 16.2% TO

$5.8 billion

NEW ZEALAND’S SHARE OF LOG IMPORTS INTO CHINA HAS EXPANDED AT THE EXPENSE OF CANADA AND RUSSIA, AND AS CHINA INCREASES ITS RATIO OF SAWN TIMBER IMPORTS.

1

2

Logs and wood chips

Sawn timber and sleepers

Wood pulp

Paper and paperboard

Panel products

Other forest products

Notes1 Paper and paperboard includes Newsprint data, therefore differs from Statistics NZ data2 Excludes re-exports. Newsprint data 12 months ending June 2010.

Source Major Export Earners Stats NZ and FOA Source Box 1 & 2 SOPI September 2019

Year

NZ $

000

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

1,000,0000

2018

2019

3,000,000

5,000,000

7,000,000

31 32

Production and Exports of Selected Forestry Productsfor Year Ended 31 Dec 2017

Log export returns are expected to fall

$1.06 billion in the year to the end of June 2020, while total other product returns will decrease by $148 million

PULP EXPORT RETURNS ARE

EXPECTED TO FALL $73 m IN THE YEAR TO JUNE 2020

Notes 1 Plywood includes laminated veneer lumber.2 Exports excluded re-exports.

Source Production and Exports of Selected Forestry Products MPI, Statistics NZ and FOA Source Box 1 SOPI March 2019Source Box 2 SOPI September 2019

Quantity exported2 Total production

Veneer (m3)

Plywood1 (m3)

Fibreboard (m3)

Other paper & paperboard (tonnes)

Wood pulp (tonnes)

Sawn timber (000m3)

Wood chips (BDU)

Logs (000m3)

1

2

22,064,319 36,404,461

140,298

28,751

603,736

420,133

899,463

1,922,941

265,990

362,092

482,759

565,649

798,791

1,440,274

4,410,530

Not available

Source SOPI September 2019

The number one NZ forest markets;

China

All forest products and Logs

US

Sawn timber

Japan

Panels

Australia

Paper and paperboard

343333

Sawn Timber Export Volume by Destination 2013–20for Year Ended June

Forestry Export Revenue, 2016–20 ($NZ million)for Year Ended June

Volu

me

(000

m3 )

Forecast

2,500

2,000

1,500

1,000

500

020152013 20162014 2017 2018 2019 2020

Australia

China

Indonesia

Republic of KoreaThailand

US

Viet Nam

Taiwan

All other

Year to 30 JuneActual Forecast

2017 2018 2019 2020 2021Logs 2,687 3,337 3,853 2,790 3,330Sawn timber & sleepers 830 890 937 940 960Pulp 651 828 813 740 720Paper & paperboard 488 490 490 480 450Panels 476 501 514 530 540Chips 59 56 67 70 70Other forest products1 290 281 257 270 270Total 5,482 6,382 6,931 5,810 6,350Y/Y % change +6.7% +16.4% +8.6% -16.2% +9.3%

Notes 1 Other forest products include: structural or moulded wood, furniture and prefabricated buildingsSource Sawn Timber Export Volume by Destination 2013-20 Stats NZ and MPISource Forestry Export Revenue, 2016-20 SOPI September 2019Source Box 1 MPI, Meat Industry Association and Dairy Companies Association

Exports of Forest Products

About 16% of New Zealand’s timber production is consumed in New Zealand, compared with 15% for meat and 5% for dairy production

1

Lumber and Log Production and Exports

Lumber Production and New Zealand Lumber Exportsfor Year Ended Mar

Volume of Logs used in Domestic Processing versus Exported 2008-2030for Year Ended Dec

2018

2019

Lumber production

New Zealand lumber exports

Year

Lum

ber (

000m

3 )

Logs exported

Logs used for domestic processing

Source Lumber Production and New Zealand Lumber Exports Stats NZ and MPI Source Volume of Logs used in Domestic Processing versus Exported 2008-2030 Stats NZ and MPI

0Roun

dwoo

d re

mov

al (m

illio

n m

3 )

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999

1998

1997

1996

1995

1994

1993

1992

2008 2012 2014 2016 2018 2020 2022 2024 2026 2028 20302010

Forest (Wood availability forecast Scenario 3)

5

10

15

20

25

30

35

40

35 36

Notes1 Ports with <1% not included.

Source Log Exports by Port MPI Source Logs Percentage Export Quantity by Port MPI

Port of Loading Export Quantity (m3)

Export value ($NZ)

Auckland 42,856 8,380,248Christchurch 478,160 90,723,458Dunedin 1,098,413 178,760,646Gisborne 2,899,305 489,849,993Invercargill 718,731 131,601,481Napier 2,226,602 387,226,415New Plymouth 869,063 153,957,151Nelson 1,376,655 212,133,872Picton 658,660 101,369,144Timaru 548,662 91,598,876Tauranga 6,791,188 1,143,675,802Wellington 1,679,533 280,127,578Whangarei 2,676,490 461,425,208Total 22,064,319 3,730,829,872

Whangarei 12%

Gisborne 13%Tauranga 31%

Napier 10%

Wellington 8%

New Plymouth 4%

Dunedin 5%Nelson 6%

Invercargill 3%

Picton 3%

New Plymouth 2%Timaru 2%

Log Exports

Log Export Quantity and Export Value by Port1

For Year Ended March 2019

Logs Percentage Export Quantity by Port

Sawn Timber Export by PortFor Year Ended March 2019

Sawn Timber Export Quantity and Export Value by Port

Sawn Timber Percentage Export Quantity by Port

Port of Loading Export Quantity (m3)

Export value ($NZ)

Auckland 162,025 90,856,571Christchurch 83,521 37,373,756Dunedin 133,212 48,514,242Gisborne 48,350 11,461,840Invercargill 92,937 35,508,300Napier 357,119 147,702,730Nelson 93,393 41,870,986Picton 863 214,628Timaru 62 20,614Tauranga 936,883 517,438,248Wellington 3,959 5,107,975Whangarei 10,618 3,603,804Total 1,922,941 939,673,694

Auckland 8%

Napier 19%Tauranga 49%

Dunedin 7%

Nelson 5%

Christchurch 4%

Other 1%

Invercargill 5%

Gisborne 3%

3000

3500

4000

4500

5000

2001 2004 2007Thou

sand

cub

ic m

etre

s

2010 2013 2016 2019

Sawn Timber Production to March 2001-19

Source Sawn Timber Production to March 2000-18 MPISource Sawn Timber Percentage Export Quantity by Port MPISource Sawn Timber Production to June 2001-19 SOPI

37 38

Forest Products Industry Map 2018

SawmillsS1 25,000 – 49,999m3

S2 50,000 – 99,999m3

S3 1000,000 – 249,999m3

S4 250,000 – 499,999m3

S5 >500,000m3

Processing PlantsF Fibreboard (MDF & Hardboard)P Particleboard (Incl Strandboard)PL PlywoodPP Pulp and PaperV Veneer/LVL/CLTPTP Paper/Tissue/PaperboardCEF Chip Export Facilities1

MW Manufactured Wood Products2

Otago/ Southland

Canterbury

West CoastNelson Marlborough

Southern North Island

Hawke’s Bay

East Coast

Central North Island

Northland

Auckland

Notes1 >50,000 BDU per annum.2 >20,000m3 production per annum.

Source Forest Products Industry Map Australia & New Zealand Forest Products Industry Map 2018

NorthlandJuken New Zealand Ltd Triboard Mill, Kaitaia FJuken New Zealand Ltd Northland Mill, Kaitaia VWaipapa Pine Limited, Kerikeri S1

Mount Pokaka Timber Products Ltd, Kerkeri S1

Rosvall Sawmill Ltd, Whangarei S1

CHH Woodproducts NZ LVL, Marsden Point VCHH Woodproducts NZ Sawmill, Whangarei S4

North Sawn Lumber Ltd, Ruakaka MWMarusumi Whangarei Co Ltd, Marsden Point CEFBBS Timbers Ltd, Whangarei MWKiwi Timber Protection Ltd, Whangarei MWNorth Pine Ltd, Waipu S1

AucklandHerman Pacific Ltd, Silverdale MWJSC Timber, Kumeu MWAnderson & O’Leary Ltd, Whenuapai S1

Claymark Ltd, Henderson MWTimberlab Solutions Ltd, Auckland MWOji Fibre Solutions, Penrose PTPMax Birt Sawmills Ltd, Pokeno S3

Claymark Ltd, Thames S2

Oji Fibre Solutions, Kopu P

Central North IslandClaymark Ltd, Katikati S2

Claymark Ltd, Katikati MWPure Pine Mouldings, Te Puke MWPukepine Sawmills (1998) Ltd, Te Puke S2

Kiwi Lumber (Putaruru) Ltd, Putaruru S1

Pacific Pine Industries Ltd, Putaruru S1

CHH Woodproducts NZ Plywood, Kinleith PLAlkieman Custom Jointing Ltd, Tokoroa MWOji Fibre Solutions, Kinleith PPClaymark Ltd, Rotorua S2

Claymark Ltd, Rotorua MWClaymark Profiles, Rotorua MWMcAlpines Rotorua Ltd, Rotorua S1

Hume Pine NZ Ltd, Rotorua MWRed Stag Timber, Waipa S5

Red Stag Timber, Waipa MWCHH Woodproducts NZ Sawnmill, Kawerau S4

Sequal Lumber, Kawerau S3

Asaleo Care, Kawerau PTPOji Fibre Solutions, Kawerau PPNorske Skog Tasman Ltd, Kawerau PPWhakatane Mill Ltd, Whakatane PTPKLC Ltd, Kaingaroa MWDonelley Sawmillers Ltd, Reporoa S2

Laminex NZ, Taupō PTenon Clearwood, Taupō S3

Tenon Clearwood, Taupō MWOTC Timber Co Ltd, Otorohanga MWWaitete Sawmills Ltd, Te Kuiti S1

R.H. Tregoweth Ltd, Te Kuiti S1

WPI Tangiwai Sawmill, Ohakune S3

WPI Karioi Pulpmill, Ohakune PP

East CoastJuken New Zealand Ltd Gisborne Mill, Gisborne S1

Juken New Zealand Ltd Gisborne Mill, Gisborne V

Hawke’s BayPan Pac Forest Products Ltd, Napier S4

Pan Pac Forest Products Ltd, Napier PP

Southern North IslandTaranakipine, New Plymouth S2

Taranakipine, New Plymouth MWWaverley Sawmills Ltd, Waverley S1

Kiwi Lumber (Dannevirke) Ltd, Dannevirke S1

Juken New Zealand Ltd, Wairarapa Mill S1

Juken New Zealand Ltd, Wairarapa Mill VJuken New Zealand Ltd, Wairarapa Mill MWKiwi Lumber (Masterton) Ltd, Masterton S2

Nelson MarlboroughTimberlink New Zealand Ltd, Blenheim S2

Timberlink New Zealand Ltd, Blenheim MWNelson Forests Ltd, Kaituna Sawmill, Renwick S2

XLam NZ Ltd, Nelson VEurocell Woodproducts, Nelson S2

Eurocell Woodproducts, Nelson MWNelson Pine Industries Ltd, Richmond VNelson Pine Industries Ltd, Richmond FSouthpine (Nelson) Ltd, Nelson S2

CHH Woodproducts NZ Sawmill, Nelson S3

MLC Group, Motueka MWProwood Ltd, Motueka MW

West CoastInternational Panel & Lumber (West Coast) Ltd, Greymouth PL

Westco Lumber Ltd, Hokitika S1

CanterburyDaiken NZ Ltd, Rangiora FMcAlpines Timber Ltd, Rangiora S1

Stoneyhurst Timbers Ltd, Belfast S1

Belfast Timber Processing Ltd, Belfast MWMcVicar Timber Group Ltd, Christchurch S1

Southern Pine Products Ltd, Christchurch MWSRS New Zealand Ltd, Rolleston S2

Niagara, Ashburton MW

Otago/SouthlandPan Pac Forest Products (Otago) Ltd, Milburn S3

Dongwha New Zealand, Mataura FNiagara Sawmilling Co. Ltd, Invercargill S3

Niagara Sawmilling Co. Ltd, Invercargill MWSouthwood Export Ltd, Awarua CEFCraigpine Timber Ltd, Winton S3

39

Paper, Pulp and Panel Products Productionfor Year Ended March

Paper and Pulp Production

Panel Products Production

Prod

uctio

n (0

00m

3 )Vo

lum

e (0

00 m

3 )

Year

Year

Fibreboard – all types4

Veneer

Mechanical pulp1

Chemical pulp2

Newsprint

All other paper and paperboard3

Particleboard

Plywood5

0

Notes 1 Mechanical Pulp is those export items in HS item grouping 4701. 2 Chemical Pulp is those export items in HS groupings 4702, 4703, 4704 and 4705. 3 All other paper and paperboard includes printing and writing paper, other paper and paperboard.4 Fibreboard includes MDF, hardboard & softboard.5 Plywood includes laminated veneer lumber.

Source Paper, Pulp and Panel Products Production MPI

500

500

1,500

1,500

1,000

1,000

2,000

2,000

2,500

3,000

2009

2009

2010

2010

2011

2011

2012

2012

2013

2013

2014

2014

2015

2015

2016

2016

2017

2017

2018

2018

2019

2019

Health, Safety and Training

SECTION 4

42

The Forest Industry Safety Council is a pan-industry initiative to reduce and ultimately eliminate deaths and serious injuries in New Zealand plantation forestry, by;

• Improving leadership of safety• Providing easy-to-use forest

safety resources through w w w .s afetree.nz website

• Sharing better information on what’s causing injuries

• Getting companies and workers more competent

• Helping the sector adapt to the Health and Safety at Work Act 2015.

Health and Safety in the Forest Industry

Fatalities

Severe Injuries 1 Rate of injuries to workers resulting in more than a week off work

How Do We Compare?2 Rate of injuries to workers resulting in more than a week off work

J S J SD M J SD M D M

2014 2015 2017 2018

Fatalities

Injuries per 1,000 workers

Injuries per 1 million m3 roundwood

Notes1 Rolling average last four quarters.2 Rolling average last four quarters per 1,000 workers.

Source WorkSafe/MPI/FISC. Injury data in this dashboard is based on ACC claims where someone receives a period of weekly compensation within a quarter. This data lags by 6 months due to claim processing time.

2012 2013 2014 2015 2016 2017 2018 2019

0

1

2

3

4

10

15

20

25

30

Num

ber o

f Fat

aliti

esS DJ S DM J S DM J M J

10

15

20

25

30

Num

ber o

f Inj

urie

s

2014 2015 2016

ForestryAgriculture

ManufacturingConstruction

Num

ber o

f Inj

urie

s

2016

S SD DM J

2017 2018

J MS S DJ

June

D

Sept

embe

rDe

cem

ber

Dece

mbe

r

Dece

mbe

r

Dece

mbe

r

Dece

mbe

r

Dece

mbe

r

Dece

mbe

r

Mar

ch

Mar

ch

Mar

ch

Mar

ch

Mar

ch

Mar

ch

Mar

ch

June

June

June

June

June

June

June

Sept

embe

r

Sept

embe

r

Sept

embe

r

Sept

embe

r

Sept

embe

r

Sept

embe

r

4343 44

Source Forestry New Entrant Snapshot MPISource Stats NZ

Forestry New Entrant Snapshot

Where did they come from (2013)?

Where did they go to (2013-2016)?

Education 11%

Overseas 5%Beneficiaries 10%

Other 16%

Other Primary Industries 10%

Other Industries 48%

56%

5%

21%

5%

5%

2%6%

38%

10%

31%

5%

5%

2%9%

30%

10%

34%

7%

7%

2%10%

2014 2015 2016

Key

Stayed in Forestry

Other Primary Industries

Other Industries

Beneficiaries

Overseas

EducationOther

Forest and Meat/Wool Workforces

2003 2012 2016

Forestry area 1.83m ha 1.72m ha 1.70m ha

Workers in-forest 11,100 8,300 7,500

Workers per 1000 ha 6.1 4.8 4.4

Meat and Wool area 10.6m ha 9.1m ha 8.5m ha

Workers on-land 42,390 33,350 30,890

Workers per 1000 ha 4.0 3.5 3.6

Industry Training 2018

Trainee Count

Trainee by Qualification Level

Trainees by Ethnicity

Trainees by Age

Level 5

Level 4

Level 3

Level 2

Trai

nees

Not stated

AsianEuropeanPacificaMaoriNZ European

Trai

nees

Source Industry Training 2018 MPI

0

500

1,000

1,500

2,000

0500

1,0001,5002,0002,500

0500

1,0001,5002,0002,500

60+50 – 5940 – 4930 – 3920 – 2919 and under

Trai

nees

FurniturePulp andPaper

Wood Panels

Solid Wood Processing

Forestry

Trai

nees

0500

1,0001,5002,0002,5003,0003,500

2,500

Other/

0800 526 1800 competenz.org.nz

» Choose Manual Operations or Mechanised Processing

» Flexible programmes to suit your business » Two years “fees free” for eligible learners » Training complete in 2-3 years » Designed by industry, for industry.

Talk to us today about your training needs.

New forestry apprenticeships

46

Supplementary Information

SECTION 5

474747 48

A Forestry Roadmap

01

Tree growth and forest production efficiency will have both doubled.

02

Our increasingly diverse forests will provide valuable products tailored to our customers' needs.

03

People will be attracted to work in forestry because they will be safe, valued and welltrained.

04

Expanding commercial plantation forestry will have been the prime means of achieving New Zealand's net zero carbon goal by 2050, while providing other substantial environmental and social benefits.

05

Our licence to operate will have widespread support.

Vision for 2050: Forestry will be New Zealand's number 1 primary sector and exemplify the best plantation forest management in the world.

Source A Forestry Roadmap for Aotearoa New Zealand Forest Owners Association 2020 – 2050

Forest Growers Levy Trust

The 2014 to 2019 Harvested Wood Material Levy Order is expiring and has been replaced by a confirmed new levy order which will run to 2025, based on a 89.1% affirmative vote of levy payers . The rate for the first year of the new levy continues at 27 cents per tonne of harvested log. The levy generated in the year to the end of June 2019 was $5,461,078. The levy income is invested in industry good projects by the Forest Growers Levy Trust, which has contracted the Forest Owners and Farm Forestry Associations to manage the annual work programme. The annual work programme consists of research and work which will benefit the industry as a whole. More information, including the 2018 Annual Report, can be found at www.fglt.org.nz.

Source Expenditure by Category FGLT

494949 50

How the FGL is Invested

Source How the FGL is Invested Forest Growers Levy Trust Annual Report 2018

Expenditure by category %

49.9% Research, Science and Technology The large research programme is focussed on improving the profitability and sustainability of forest growers large and small. It covers research on raising the productivity of Radiata pine through better site and stand management, understanding and responding to needle diseases such as red needle cast (RNC), developing technologies to battle insect and pest incursions in urban areas and finding longer term solutions to the wilding conifer problem in parts of New Zealand. Licence to operate issues were addressed with projects to identify the sources of sedimentation and the effectiveness of riparian margins. The programme also has a focus on other commercial species to give land owners greater confidence to grow these species. Reducing the cost and improving the safety of harvesting on steep land continued during the year along with a big effort to further develop remote sensing technologies such as LiDAR to improve forest management.

15.8% Operational Costs (incl. Administration) Represent Levy collection and database maintenance costs, business compliance costs and all direct costs associated with supporting FGLT secretariat and the planning, management and delivery of the annual Work Programme.

9.3% Forest Biosecurity National forest biosecurity surveillance of high-risk sites and administration costs for a Biosecurity Manager, and work with other sectors to ensure plants from nurseries are disease free. Recent initiatives include contributions to an app-based general surveillance tool and research on forest hygiene.

9.0% Promotion NZ Wood/Love our Forests in periodical magazines, television commercials and radio. Ten episodes of ‘Forest Call’ on Face TV. Publications, external memberships, sponsorships and career promotion. Publication of Facts & Figures with MPI. Assistance in production of the Forest Roadmap. Stakeholder and public opinion surveys.

8.2% Health and Safety This is the joint industry contribution to major health, safety and training issues identified by the Forest Industry Safety Council. Major initiatives include worker certification for high risk tasks, contractor certification and the Safety Culture programme. Includes publication of the Best Practice Guides for Treefelling and Breaking Out, and input to the A/NZ Standard on Oral Fluid testing.

4.4% Training and CareersConsults on and develops an industry view on plantation forestry standards, qualifications and training needs. Works with FISC, FICA and Competenz (the industry’s ITO) as well as funders and training providers to ensure standards and training solutions are delivering on those needs. The committee promotes forestry careers, both directly through development and maintenance of the portal “Forestrycareers.nz”, and by working with and through other agencies. Financial support is provided to a number of training providers to help with resource development and training delivery. Supported providers include the University of Canterbury, the Primary Industry Capability Alliance, development of the Future Foresters network and a number of front line training provider initiatives.

1.4% Forest Resources and Environment Developing policies on forest growing and environment issues, including forest certification, climate change, water allocation and the RMA. Projects include maintaining the rare species website, developing a series of Forest Practice Guides, and environmental fact sheets.

1.1% Transportation An annual contribution to the pan-industry Log Truck Safety Council (LTSC), research into the effect of electronic road user charges and the Road Safety in Schools (Share the Roads) programme. The individual projects into GIS mapping, Options for Roading report, and Transport Calculator have been combined into a single Rural Roads Programme – a tool for forest owners and councils to determine options for public road requirements at harvest time. The Road Engineering Manual has been updated and log truck training videos funded in partnership with the LTSC.

0.5% Fire Comprises a contribution to the Fire and Emergency New Zealand national fire prevention campaign,development of a set of Fire Management Guidelines for forest owners and funding assistance for theScion Rural Fire Hazard programme cost included in Research. A resource for smaller forest owners is under development.

0.5% Small and Medium Forest Enterprises This is a forum for owners and managers of small scale forests. It includes field days, publications, website, workshops and newsletters. Work on ensuring small scale forest owners have access to accurate market information at harvest, and to explore the benefits of forest aggregation for small scale owners.

515151 52

Sector Agreements

Plantation Forestry Rural Fire Control Charter 2017

FOA and FFA signed a charter with Fire and Emergency New Zealand for the integration period as Fire and Emergency moves to become a fully unified, national organisation.

Forest Government Industry Agreement for Biosecurity 2015

The FOA has signed a Government Industry Agreement to protect New Zealand forests from introduced pests, weeds and diseases through sharing of costs and decision making. The Forest Biosecurity Surveillance programme began on 1 July 2016, covering all commercial plantations. PineNet is a forest industry network to respond to a major incursion.

Forest Industry Safety Council 2015

The FOA is participating in FISC as the pan-industry Health and Safety initiative. FISC has an independent cross sector board. FISC’s mission is to reduce the rate of serious injury and fatalities in plantation forests, with an ultimate goal of eliminating them.

Log Transport Safety Accord 2008

An agreement between FOA/FFA, the Road Transport Forum New Zealand and the Log Transport Safety Council to reduce the incidence of log truck accidents on roads.

Eliminating Illegal Forest Products 2008

The FOA, WPMA and Pine Manufacturers Association joined NGOs in calling on the New Zealand government, importers, processors, retailers, New Zealand forest and plantation managers and processors of forest and plantation products, to strongly oppose the importation and use of illegally harvested and traded forest products in New Zealand.

New Zealand Climate Change Accord 2007

An agreement between FOA/FFA, the Timber Design Society and eight NGOs acknowledging the contribution of indigenous and plantation forests to mitigate climate change, which also provides a renewable, reusable and recyclable resource.

The Accord endorses the principle of polluter pays to cover all greenhouse gases with all sectors taking responsibility and with time bound targets.

New Zealand Forest Accord 1991 and 2007

The Forest Accord is between forest and timber groups and 10 NGOs to agree on; defining areas unsuitable for forestry, maintaining existing natural forest, recognition of commercial forestry as essential, indigenous forest extraction only on a sustainable basis and new forests not disturbing natural indigenous vegetation.

NZ Wood

Wood is the world’s most renewable raw material. For this reason forests and the wood they provide are vital in the fight against climate change. As the effects of global warming impact on our environment, the use of renewable and sustainable building materials has never been so important.

The stages of the wood story – planting and renewal, growth, harvesting and use – are part of a renewable cycle that takes and stores carbon dioxide from the atmosphere, making wood a better-than-carbon-neutral building material.

Wood is the only construction material which has absorbed CO2 from the atmosphere when produced, not emitted more

During its production, one tonne of:

• Concrete – has released 159 kilos of CO2 into the atmosphere

• Steel – has released 1.24 tonnes of CO2 into the atmosphere

• Aluminium – has released 9.3 tonnes of CO2 into the atmosphere

Wood, however, has absorbed a net 1.7 tonnes of CO2 from the atmosphere, over and above the energy expended in growing, harvesting and processing.

The more timber you use in a house, the more CO2 you remove from the atmosphere

• It takes around 20 trees to build an average house frame

• A steel house frame has added 4.5 tonnes of CO2 to the atmosphere

• A wooden house frame has absorbed 9.5 tonnes of CO2 from the atmosphere

• Choosing timber options for an average house can take around 20 tonnes net of CO2 out of the atmosphere (saving the equivalent of 150 trips Auckland to Wellington, or 7.1 years of car use)

• Using alternative materials (concrete, steel, brick and aluminium) can add 24 tonnes net CO2 to the atmosphere (costing the equivalent of 180 trips Auckland to Wellington, or 8.6 years of car use).

Using wood is something we can all do to help the environment. By demanding and using more sustainably produced wood, we can ensure that more trees will be planted and more carbon dioxide will be absorbed from the atmosphere.

The result is a better world for ourselves, our families and future generations. It’s simple.

Wood. Our most renewable raw material. www.nzwood.co.nz

535353 54

New Zealand’s Greenhouse Gas Inventory

The Carbon Cycle

Planting trees begins a cycle that continuously removes, releases and re-absorbs greenhouse gases such as carbon dioxide. As trees grow, they absorb carbon dioxide through the process of photosynthesis.

The carbon dioxide absorbed by the growing forest remains stored within the wood products used throughout the lifetime of the building structure or product.

When a structure or product reaches the end of its lifetime, the carbon dioxide is released back into the atmosphere as the wood decays or is burnt as fuel.

Wood can be recycled to extend its lifetime and slow down the natural release of carbon dioxide back into the atmosphere. Once the carbon dioxide is released, it is available to be re-absorbed by growing trees.

New Zealand’s Greenhouse Gas Inventory – Key Points

In 2017, New Zealand’s total gross emissions were 80.8 million tonnes of carbon dioxide (Mt CO2-e). In 1990, gross emissions were 65.8 Mt CO2-e.In 2017, 24.2 Mt CO2-e was removed from the atmosphere by the forestry sector, compared with 31.5 Mt CO2-e in 1990. Forestry sector removals in 2017 reduced total gross emissions to 56.9 Mt CO2-e net or a 30% offset.Agriculture continued to be the largest contributor to New Zealand’s Greenhouse Gas Emissions, with 48.1% of the total at 38.9% Mt CO2-e, compared with energy at 40.7%.

Total CH4 and N2O emissions in 2017 attributable to dairy cattle, beef cattle, sheep and deer1

Total emissions (million tonnes CO2-e)

2017 Population (millions)

Emissions per animal (tonnes CO2-e )

Sheep 10.29 27.53 0.37

Deer 0.61 0.84 0.73

Beef 6.56 3.62 1.81

Dairy 18.20 6.53 2.79

Notes 1 Based on figures from the Agricultural Inventory Model, used in New Zealand’s Greenhouse Gas Inventory 1990-2017 report published by MfE Source MfE and FOA

15 pine trees, 20 years old, will have offset the yearly greenhouse gas emissions of; 75 sheep, 10 cows or 3 cars

Forests Removing Carbon

How is carbon removed from the atmosphere by New Zealand’s forests?

Forests act as carbon sinks – a type of reservoir that removes and stores more carbon from the atmosphere than it releases. Trees use carbon dioxide (CO2) as part of their ‘breathing’ cycle – taking in CO2 and storing it within roots, trunks and branches – and releasing oxygen.

The amount of CO2 a forest removes depends on the species grown and place in its growing cycle. A young forest will remove smaller amounts of CO2 until the trees establish and enter a growing phase – this is when forests will remove the most carbon. As a forest ages and its growing process slows, it will revert to absorbing less carbon again.

At harvesting, the forest ceases to be a carbon sink but instead of releasing all the carbon it has stored, the harvested wood retains some of it. All wood products store carbon that will eventually be released, however the rate at which that carbon is released depends on the type of product and the type of treatment the wood has undergone. Studies are still being conducted into these release rates.

The amount of carbon removed by New Zealand’s forests is therefore dependent on the coverage of forestland, the age and species of the trees and the rate of harvest. Exotic forest biomass carbon was 283 million tonnes in 2015. This was an increase of 150 million tonnes, or 114 percent, since 1990.

If carbon in the exotic forest soil is included, the total forest biomass carbon volume increased to 451 million tonnes in the same period, an increase of 189 million tonnes, or 72 percent.

Source 1990 to 2015 National Greenhouse Gas Inventory

NEW ZEALAND FOREST CARBON IS

283 million tonnes, THE EQUIVALENT OF 13 DAYS OF GLOBAL FOSSIL FUEL CONSUMPTION.

555555 56

Forestry the solution in Carbon Zero pathways

The Productivity Commission has presented three pathways to achieve a carbon neutral economy by 2050. All pathways rely on new forest planting.The pathways are; Policy Driven, Disruptive Decarbonisation (e.g. artificial meat widespread in the market) and Stabilising Decarbonisation (e.g. methane vaccine for cows becomes available).

Policy Driven2.8 m ha new forest (1.9 m ha exotic, 0.9 m ha indigenous) 45 MtCO2e forest carbon sequestration

Mt C

O2e

Mt C

O2e

Mt C

O2e

100

100

100

80

80

80

60

60

60

-60

-60

-60

2015

2015

2015

2020

2020

2020

2025

2025

2025

2030

2030

2030

2035

2035

2035

2040

2040

2040

2045

2045

2045

2050

2050

2050

40

40

40

-40

-40

-40

20

20

20

0-20

-20

-20

Disruptive Decarbonisation2.1 m ha of new exotic forest 45 MtCO2e forest carbon sequestration

Stabilising Decarbonisation2.3 m ha new exotic forest 50 MtCO2e forest carbon sequestration

0

0

AgricultureEnergyWaste

TransportForestry

IndustrialNet emissions

Source Productivity Commission Low-emissions economy, Final report, August 2018

Carbon Sequestration

0.0

200.0

400.0

600.0

800.0

1000.0

1200.0

1400.0

0 10 20 30 40

Total C02 Sequestration Comparison for Radiata and Other Tree Species

Eucalyptus fastigataPinus radiata, unpruned on good landRedwoodKauri & Tōtara

‘Averaging’ is planned to be introduced into the Emissions Trading Scheme as optional for new registrations for forests post 1989, until 31 December 2020 when it will become compulsory for new registrations.

Carbon accounting practices

Averaging Current Accounting

1200

Forest age

Mature forest harvest

0

NZU

/ha

Source Thomas Paul et al, prepared for Ministry of Agriculture and Fisheries 2008 Source Carbon accounting practices SOPI June 2019

Age in years

CO2 to

nnes

/ha

575757 58

FSC certified plantation forests contribution to social, economic and environmental wellbeing

Area Statistics

Visitors

35,000 Hunting

260,000 Walking

663,000 Biking

26,000 'Other'

Community Use of Forests

984,000 Visitors Per Year

Area under certification 1,167,885 ha

920,589 ha Area planted in forest

19% Indigenous areas as part of working

forest (weighted average)

23,069 ha Area harvested in year to June 2019

14,982,455 Tonnes of logs harvested in year to

2019

9,315 ha High conservation value areas

protected

86 Special Areas managed by forest companies

$1,368,000 Spent on enviro-management

in year to July 2019

Including fishing, firewood, motorsports,

watersports, cultural

Forest Stewardship Council

Species Found in FSC Forests

0 5 1510

Falcon

Short or long-tailed Bat

Kiwi

Blue Duck

Kākā

Kea

Kākābeak (shrub)

Kōkako

Galaxiids (fish)

Barking or Green Gecko

NZ Dotterel

Archey's or Hochstetter's Frog

Dactylanthus (wood rose)Sp

ecie

s

Number of FSC certified companies reported (out of a toal of 19). Threatened and at risk species can be found in

multiple forests owned by a single forest company.

16

7

6

2

4

3

1

Species Biodiversity

595959 60

Area of Native Vegetation Within FSC Certified Plantation Forests

Multiple-use

Region Hectares

Bay of Plenty 28,908Northland 21,252Waikato 18,654Gisborne 13,717Westcoast 13,399Horizons 11,732Hawkes Bay 10,383Southland 8,531Tasman 8,006Otago 6,318Canterbury 6,076Marlborough 4,718Greater Wellington 2,743Auckland 2,668Taranaki 1,025Nelson 829

Plantation forests have multiple uses and functions and produce mainly wood fibre and logs for construction or other purposes. They also provide and support other goods.

Honey Koura

GameRongoa/Māori medicine

Under canopy crops and food harvest

Livestock grazing

Regional Biodiversity Terms, Names and Sites

Area and volume

• An average Pinus radiata tree yields 2.4 m3 of wood at harvest.

• 1 hectare of 28 year-old Pinus radiata contains between 650 and 800 m3 of wood.

• 1 hectare grows up to 28 m3 of wood each year.

• A log truck and trailer carries approximately 30 tonnes of logs.

• A log ship contains approximately 30-35,000 tonnes of logs.

AbbreviationsFAO Food & Agriculture Organization of the United NationsFFA New Zealand Farm Forestry AssociationFGLT Forest Growers Levy TrustFIEA Forest Industry Engineering AssociationFISC Forest Industry Safety CouncilFOA New Zealand Forest Owners AssociationFSC Forest Stewardship CouncilMfE Ministry for the EnvironmentMPI Ministry for Primary IndustriesNEFD National Exotic Forest DescriptionNZIER New Zealand Institute of Economic ResearchPEFC Programme for the Endorsement of Forest CertificationSOPI Situation and Outlook for Primary IndustriesStats NZ Statistics New ZealandWPMA Wood Processors and Manufacturers Association

Facts & Figures organisation sitesCompetenz www.competenz.org.nzFAO www.fao.org/forestryFFA www.nzffa.org.nzFGLT www.fglt.org.nzFIEA www.fiea.org.nzFISC www.safetree.nzFOA www.nzfoa.org.nzFSC www.nz.fsc.org/en-nzMfE www.mfe.govt.nzMPI www.mpi.govt.nzNZIER www.nzier.org.nz NZFOA www.nzfoa.org.nzNZ Forests Portal www.nzplantedforests.orgPEFC www.pefc.orgScion www.scionresearch.comStatistics NZ www.stats.govt.nzWPMA www.wpma.org.nzWorkSafe NZ www.business.govt.nz/worksafe

DisclaimerEvery effort has been made to ensure that the statistics and information found within this publication are accurate and fair. The Forest Owners Association provides no warranty as to accuracy and shall not be liable to any person for any loss or damage for the use, directly or indirectly, of the information.

616161 62

Contacts

Board and Committee Chairs of Forest Owners Association

Peter Weir PresidentTel: 03 384 7873Mobile: 027 454 7873Email: peter.weir@ernslaw.co.nz

Phil TaylorVice PresidentChair Research CommitteeTel: 03 339 1681Mobile: 027 487 6890Email: ptaylor@portblakely.com

Robert GreenTel: 07 343 1086Mobile: 027 466 4123Email: robert.green@tll.co.nz

Lees SeymourChair Training & Careers CommitteeTel: 03 543 8115 ext 829Mobile: 027 488 2409Email: lees.seymour@nelsonforests.com

Dave CormackChair Forest Biosecurity CommitteeTel: 03 489 3234Mobile: 021 222 9315Email: dave.dormack@dn.wenita.co.nz

Sean McBrideChair Fire CommitteeTel: 06 370 6400Mobile: 027 499 2931Email: sean.mcbride@jnl.co.nz

Steve WalkerMobile: 027 605 0927 Email: steve.walker@cfgnz.com

Kerry EllemChair Promotions CommitteeTel: 06 571 7915Mobile: 027 403 2589Email: kellem@hnrg.com

Brendan SluiMobile: 027 485 7912Email: brendan.slui@rayonier.com

Satinder Mohan SinghTel: 09 973 5029Mobile: 021 0839 8036Email: satinder.singh@aubade.co.nz

Tim SandallChair Transport CommitteeTel: 06 947 5049 ext 7049Mobile: 021 241 4900Email: tim.sandall@panpac.co.nz

Grant DodsonTel: 03 467 7730Mobile:027 654 6554Email: grant.dodson@cityforests.co.nz

FOA Staff

David RhodesChief ExecutiveTel: 04 473 4769/1Mobile: 027 495 5525Email: david.rhodes@nzfoa.org.nz

Glen MackieTechnical ManagerTel: 04 473 4769/2Mobile: 027 445 0116Email: glen.mackie@nzfoa.org.nz

Don CarsonCommunications ManagerTel: 04 473 4769/3Mobile: 027 537 9488Email: don.carson@nzfoa.org.nz

Russell DaleResearch ManagerTel: 07 921 1883Mobile: 027 493 8061Email: russell.dale@nzfoa.org.nz

Venise Comfort AdvisorTel: 04 473 4769/5Mobile: 027 530 4443Email: venise.comfort@nzfoa.org.nz

Veronica BennettOffice Manager – RotoruaTel: 07 921 7246Email: veronicabennett@nzfoa.org.nz

Rosemary McFadyenOffice ManagerPhone: 04 473 4769/1Email: rosemary.mcfadyen@nzfoa.org.nz

Jeff DrinkwaterSenior AccountantPhone: 04 473 4769/4Email: jeff.drinkwater@nzfoa.org.nz

NZ Wood Processors & Manufacturers Association

Jon TannerChief ExecutiveTel: 04 473 9220Mobile: 021 890 624Mobile: jon@wpma.org.nz

Jeanette SutherlandExecutive AssistantTel: 04 473 9220Mobile: 027 465 9718Email: jeanette@wpma.org.nz

Wood Councils

Northland Wood CouncilUrsula BuckinghamTel: 09 470 1325Mobile: 027 499 8416Email: ubuckingham@hnrg.com

Central South Island Wood CouncilColin MaunderDDI: 07 343 1081Mobile: 027 466 4132Email: colin.maunder@tll.co.nz

Eastland Wood CouncilKim HollandCEOMobile 021 243 5594Email: kim@eastlandwood.co.nz

Hawkes Bay Forestry GroupKeith DolmanMobile: 022 093 4557Email: kdolman@novapsi.net.nz

Southern North Island Wood Council (Inc)Erica KinderMobile: 027 329 0498 Email: sniwoodcouncil@gmail.com

Marlborough Forest Industry AssociationVern HarrisTel: 03 572 8475Mobile: 027 251 0097Email: vern.forest@xtra.co.nz

Southern Wood CouncilBrent ApthorpTel: 03 470 1902Mobile: 021 227 5177Email: brent.apthorp@fiea.org.nz

Forest Industry Safety Council

Fiona EwingMobile: 027 502 8065Email: fiona.ewing@fisc.org.nz

New Zealand Farm Forestry Association

Hamish LevackPresident Mobile: 027 245 1577Email: hlevack@xtra.co.nz

New Zealand Institute of Forestry

David EvisonPresidentMobile: 027 801 2225 Email: president@nzif.org.nz

NZ Forest Industry Engineering Association

Brent ApthorpDirectorTel: 03 470 1902Mobile: 021 227 5177Email: brent.apthorp@fiea.org.nz

NZ Forest Industry Contractors Association

Ross DavisPresidentTel: 07 865 9001Mobile: 027 493 8460Email: sarah.davis@xtra.co.nz

Prue YoungerCEOMobile: 021 276 5484Email: office@fica.org.nz

Bioenergy Association of NZ

Brian CoxExecutive Officer Mobile: 027 477 1048Email: brian.cox@bioenergy.org.nz

Woodco

Brian StanleyChairTel: 07 885 5524 Mobile: 027 436 3340 Email: chairman@wpma.org.nz

64 65

Log Pricing Data

Log Type, Pricing Point, and Market

Jun-12 Quarter

Sep-12 Quarter

Dec-12 Quarter

Mar-13 Quarter

Jun-13 Quarter

Sep-13 Quarter

Dec-13 Quarter

Mar-14 Quarter

Jun-14 Quarter

Sep-14 Quarter

Dec-14 Quarter

Mar-15 Quarter

Jun-15 Quarter

Sep-15 Quarter

Dec-15 Quarter

Mar-16 Quarter

Jun-16 Quarter

Sep-16 Quarter

Dec-16 Quarter

Mar-17 Quarter

Jun-171 Quarter

Sep-17 Quarter

Dec-17 Quarter

Mar-18 Quarter

Jun-18 Quarter

Sep-18 Quarter

Dec-18 Quarter

Mar-19 Quarter

Jun-19p Quarter

EXPORT (NZ$ per JAS m3 f.o.b)

Pruned 154 - 163 153 - 166 144 - 190 168 - 192 169 - 209 177 - 201 181 - 206 171 - 198 158 - 190 146 - 187 165 - 236 186 - 199 121 - 199 189 - 211 121 - 228 220 - 230 204 - 236 184 - 207 180 - 225 185 - 214 152 - 213 177 - 217 184 - 222 176 - 222 175 - 234 153 - 236 166 - 228 169 - 237 182 - 221

A Grade 110 - 122 116 - 118 103 - 125 128 - 138 136 - 153 143 - 162 137 - 169 142 - 165 104 - 142 110 - 140 127 - 169 134 - 150 81 - 133 90 - 133 81 - 141 119 - 166 146 - 169 138 - 162 141 - 173 150 - 180 145 - 182 151 - 180 144 - 168 147 - 172 154 - 175 145 - 172 150 - 172 158 - 183 151 - 172

J Grade * * * * * * * * * * * * * * * * * * * * * * * * * * * * *

K Grade 104 - 116 103 - 110 90 - 121 112 - 131 114 - 147 132 - 156 127 - 159 133 - 159 96 - 137 101 - 134 117 - 163 124 - 143 99 - 126 91 - 125 91 - 135 99 - 158 136 - 162 124 - 157 135 - 167 142 - 174 134 - 177 142 - 174 137 - 158 132 - 165 141 - 168 133 - 158 138 - 162 146 - 176 143 - 160

Pulp 84 - 111 91 - 120 79 - 102 106 - 108 108 - 123 128 - 131 119 - 154 125 - 140 110 - 122 92 - 108 112 - 135 117 - 121 65 - 107 73 - 110 65 - 118 55 - 138 120 - 143 111 - 134 125 - 140 126 - 149 125 - 153 123 - 166 117 - 148 122 - 150 130 - 151 119 - 152 127 - 154 135 - 159 129 - 144

Average 121 122 119 135 145 154 157 154 132 127 153 147 116 128 123 148 165 152 161 165 166 169 159 166 166 164 167 176 166

DOMESTIC (NZ$ per tonne delivered at mill)

P1 127 - 170 120 - 136 122 - 149 135 - 150 142 - 158 126 - 157 132 - 156 129 - 155 131 - 155 132 - 154 134 - 154 139 - 164 135 - 170 135 - 174 135 - 174 140 - 187 142 - 195 140 - 193 142 - 186 151 - 189 155 - 191 157 - 193 157 - 195 149 - 199 150 - 197 160 - 195 164 - 200 168 - 196 166 - 196

P2 110 - 123 111 - 126 111 - 123 120 - 121 121 - 133 114 - 125 121 - 127 126 - 126 119 - 130 125 - 126 121 - 130 116 - 136 116 - 133 116 - 133 105 - 170 129 - 182 134 - 188 130 - 192 102 - 189 125 - 142 115 - 189 120 - 190 120 - 190 97 - 191 126 - 194 143 - 195 128 - 195 132 - 194 125 - 195

S1 95 - 98 95 - 102 95 - 104 97 - 102 103 - 110 102 - 120 102 - 123 98 - 112 101 - 111 103 - 109 98 - 108 108 - 112 100 - 109 100 - 108 96 - 109 102 - 118 104 - 123 105 - 123 105 - 126 114 - 127 115 - 136 116 - 143 116 - 152 124 - 159 122 - 151 122 - 148 122 - 148 122 - 148 122 - 152

S2 88 - 97 88 - 96 90 - 97 95 - 98 101 - 105 90 - 110 90 - 113 92 - 118 91 - 123 101 - 110 98 - 109 96 - 109 85 - 109 85 - 105 85 - 109 90 - 115 90 - 118 80 - 116 93 - 120 83 - 124 117 - 130 116 - 135 120 - 144 115 - 141 120 - 141 123 - 143 120 - 143 122 - 144 110 - 147

L1 and L2 83 - 92 80 - 89 77 - 96 84 - 100 88 - 105 78 - 111 80 - 113 77 - 123 78 - 78 81 - 87 85 - 103 97 - 139 78 - 95 78 - 94 78 - 109 79 - 130 71 - 132 74 - 130 82 - 138 81 - 126 83 - 145 80 - 130 71 - 143 89 - 137 82 - 137 84 - 141 90 - 141 84 - 141 71 - 144

S3 and L3 76 - 79 77 - 80 77 - 86 72 - 90 83 - 100 75 - 106 75 - 102 86 - 108 90 - 115 81 - 100 86 - 100 88 - 100 69 - 96 76 - 90 69 - 96 68 - 106 82 - 119 69 - 107 71 - 112 71 - 116 71 - 120 94 - 138 83 - 134 109 - 136 109 - 129 88 - 130 111 - 133 104 - 132 96 - 135

Run of bush .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. ..

Pulp 46 - 51 47 - 49 48 - 53 46 - 50 46 - 51 47 - 54 46 - 54 44 - 55 46 - 55 45 - 55 49 - 54 50 - 55 31 - 54 31 - 55 31 - 55 31 - 59 44 - 59 31 - 61 40 - 52 40 - 61 31 - 56 31 - 59 30 - 59 31 - 60 31 - 66 31 - 77 32 - 68 50 - 79 32 - 64

Average 95 93 95 97 103 101 102 104 102 101 102 108 99 99 102 110 114 111 111 111 126 136 134 134 135 133 135 136 136

63

Notes 1 Weighted averages have been used from June 2017. Please take care when comparing with

previous quarters.* Limited response – very small volume traded... Data not available.

Source Log Pricing Data MPI

The photo on page 46 came from Phil Taylor, Port Blakely NZ Ltd.

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w.scenario.co.nz

Further copies of this publication can be ordered from the New Zealand Forest Owners Association IncLevel 9, 93 The Terrace. PO Box 10986, Wellington 6143

Tel: +64 4 473 4769, Fax: +64 4 499 8893Email: nzfoa@nzfoa.org.nzor order on-line at: www.nzfoa.org.nz

Ministry for Primary IndustriesSector Data & Analysis, Sector PolicyPO Box 2526, Wellington 6140Tel: +64 4 894 0100, Fax: +64 4 894 0720Website: www.mpi.govt.nz, Email: stats_info@mpi.govt.nz

With the compliments of: